Colin

Bank of Beijing planning venture with Dutch lenderCo Ltd said

Bank of Beijing Co Ltd said on Friday that it has got the necessary board approvals for the esta

blishment of a joint venture with Netherlands-based ING Bank NV, in which the latter will be the majority partner.

With a total investment of 3 billion yuan ($448 million), the forthcoming joint-venture bank, whic

h is still waiting for regulatory approval, may become China’s first commercial lender in which a for

eign shareholder has a controlling interest. According to the plan, ING Bank will hold a 51 percent stake, and Bank of Beijing 49 percent.

Drawing on the experience of ING Bank in the successful development of direct ba

nking services, the joint venture will build a brand in the area of digital banking with the help of financial tec

hnologies and try to become a benchmark in terms of the implementation of China’s push to further open

up its financial sector to foreign investors, said the mid-tier commercial lender BOB in an announcement.

Different from the traditional counter-based model, the direct banking model uses e-cha

nnels to provide financial products and therefore has no restriction of time, regions or geographic branches.

www.qianhuanet.com